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Can an SMSF pay a pension in specie?
Can an SMSF pay a pension in specie?
Intello Robot avatar
Written by Intello Robot
Updated over 5 years ago

No. Only lump sum payments can be paid in-specie. A partial commutation of a pension must happen first.

An SMSF can pay any super lump sum benefit in specie, meaning paying the benefit in-kind via an asset transfer. Therefore, where a member elects to partially commute their pension, the resulting super lump sum benefit can be paid in specie. 

Reference:
TR 2013/5

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